a b s t r a c tThis paper is concerned with global shifts in innovation power. It shows that Brazil and India are accumulating significant innovation capabilities. Most explanations concentrate on factors within these rising powers. This paper concentrates on explanatory factors which have their origin in the old powers (Europe and USA). In order to understand the build-up of innovation capabilities in Brazil and India, it examines their linkages with firms in Europe and USA, concentrating on the value chains which connect them. It shows how the organisational decomposition of the innovation process emanating from the old powers contributes directly and indirectly to the build-up of innovation capabilities in the new powers. The empirical evidence comes from the Brazilian auto and the Indian software industry and the value chains which link them to the United States and Germany. Two very different industries show a core of common findings on processes which contribute to building advanced innovation capabilities in India and Brazil.

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International technology transfer is central to the debate about how to curb the carbon emissions from rapid economic growth in China and India. But given China and India's great progress in building innovation capabilities and green industries, how relevant is technology transfer for these countries? This paper seeks insights from three green technology sectors in both countries: wind power, solar energy and electric and hybrid vehicles. We find that conventional technology transfer mechanisms such as foreign direct investments and licensing were important for industry formation and take-off. However, as these sectors are catching up, new 'unconventional transfer mechanisms' such as R&D partnerships and acquisition of foreign firms have become increasingly important. We argue that there is limited practical and analytical mileage left in the conventional approach to technology transfer in these sectors in China and India. We argue that the emphasis should shift from transfer of mitigation technology to international collaboration and local innovation.

International technology transfer is central to the debate about how to curb the carbon emissions from rapid economic growth in China and India. But given China and India's great progress in building innovation capabilities and green industries, how relevant is technology transfer for these countries? This paper seeks insights from three green technology sectors in both countries: wind power, solar energy and electric and hybrid vehicles. We find that conventional technology transfer mechanisms such as foreign direct investments and licensing were important for industry formation and take-off. However, as these sectors are catching up, new 'unconventional transfer mechanisms' such as R&D partnerships and acquisition of foreign firms have become increasingly important. We argue that there is limited practical and analytical mileage left in the conventional approach to technology transfer in these sectors in China and India. We argue that the emphasis should shift from transfer of mitigation technology to international collaboration and local innovation.

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This article investigates how combining global value chain and innovation system approaches can help to foster an understanding of the possible trajectories that learning and innovation may take in developing countries. Based on the wealth of empirical evidence collected in the special issue, we introduce the notion of the co-evolution of global value chains and innovation systems and outline a framework for investigating the interaction between the two in a dynamic perspective with multiple trajectories. We find that, in some cases, there is an improvement in local innovation capabilities with potentially positive effects on overall competitiveness, while in others there is little progress or even a loss of previous innovation capacity. Cet article explore comment la combinaison d'approches liées aux chaînes de valeur mondiale et aux systèmes d'innovation peut aider à comprendre les trajectoires possibles de l'apprentissage et de l'innovation dans les pays en développement. Sur la base d'une multitude de preuves empiriques collectées dans ce numéro spécial, nous introduisons la notion de co-évolution des chaînes de valeur mondiales et des systèmes d'innovation et décrivons un cadre pour étudier l'interaction entre les deux dans une perspective dynamique avec trajectoires multiples. Nous constatons que, dans certains cas, il y a une amélioration des capacités locales d'innovation avec des effets positifs potentiels sur la compétitivité globale, tandis que dans d'autres il y a peu de progrès ou même une perte de capacité d'innovation.

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The world is in the early stages of a paradigm transition toward a global green economy. In this article, we propose the notion of green windows of opportunity, highlighting the importance of institutional changes in the creation of new opportunities for latecomer development. We emphasize how demand and mission-guided technical change influence the directionality of latecomer development and highlight the important role emerging economies may attain in the global green transformation. We provide important insights regarding opportunities for green development in emerging economies, how these opportunities emerge in different renewable energy sectors and their implications for the global green economy.